Against the surging dollar, Ethereum failed to clear the $3,850 resistance and began to lose value. The risk of further downturn remains despite the ETH price holding the $3,680 support.
Another decline from $3,850 resistance zone
At the time of writing, Ethereum is trading for $3,744 and below the 100 hourly simple moving average. There was a break below a major bullish trend line with support near $3,800 on the hourly chart of ETH/USD. To turn green near term, the pair must clear the $3,750 zone and the 100 hourly SMA.
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Ethereum struggled to break above the $3,850 level. Its native token ether reacted to the downside as a result, trading below the $3,800 level.
The hourly chart of ETH/USD showed a break below a major bullish trend line with support near $3,800, News BTC reported. The pair dropped below the $3,750 support level and the 100 hourly simple moving average. Bulls were active around $3,680 although ether spiked below the $3,700 level.
Price correcting higher
The price is currently correcting higher as a low was formed near $3,680. There was even a break above the $3,720 level. The next major resistance is near the $3,785 level. Any more gains could send the price towards the $4,000 level. The next main resistance is near the $4,200 level.
LINK and FTM are star performers today
Some altcoins are performing really well as the broader cryptocurrency market moves sideways. On January 4, Chainlink (LINK) and Fantom (FTM) are showing strength. Chainlink gained more than 7% over the last 24 hours.
According to analysts quoted by CoinGape, LINK is heading for a major breakout against Bitcoin. They are very bullish on the coin.
The top performing altcoin in 2022
Many believe that Chainlink (LINK) could be one of 2022’s best performers. Chainlink cofounder Sergey Nazarov presented the protocol’s plans for cross-chain interoperability using CCIP. In 2022, Chainlink will introduce staking on its platform.
All of these factors make LINK a major altcoin contender for a strong rally.
Fantom rallies after losing 50% of value
ETH Layer 1 competitor Fantom (FTM) crashed by more than 50% from its all-time high of $3, but it’s been bouncing back this week. On Tuesday, FTM gained almost 20%.